HomeMy WebLinkAbout1599 UNIFORM COVENANTS. Borrower and Lender covenant and agree as follow::
1. lgtaent of lriaciMl aai latetesf. Borrower shall promptly pay when-due the principal of and interest on the
indebtedness evidenced by the Note, prepayment and late charges as provided in the Note, and the principal of and interest
on any Future Advsnces secured by this Mortgage.
2. Ftsttaa totr Tams aai laarastee. Subject to applicable law on to a written waiver by Lender. Borrower shall pay
to Lender on the day monthly installments of principal and interest arc payable under the Note, until the Note is paid in full.
a sum (herein "Funds'? egwl to one-twelfth of the yearly taxes and assessments which may attain priority over this
Mortgage, and ground rcrit on the Property. if any. plus one-twelfth of yearly premium installment for hazard insurance,
plus one-twelfth of yearly premium installments for mortgage insurance. if any, all as reasonably estimated initially and from
time to time by Lander on the basis of assessments and bilk and reasonable estimates thereof.
The Funds shall be held in an institution the deposits or account of which arc insured or gwranteed by a Federal or
state agency (including Lender if Lender is such an institution): Lender shall apply. the Funds to pay said taxes, assessment,
irsurance premiums and Sround rents. Lender may not charge for so holding and applying the Funds. analyzing acid accourrt,
or veri[ying and compiling said assessment and bills. unless Lender pays Borrower interest on the Funds and applicable law
permit Lender to make such a charge. Borrower and Lender may agree in writing at the time of execution of this
Mortgage that interest on the Funds shall be paid to Borrower, and unless suet agreement is made or applicable law
requires such interest to be paid,.Lender shall not be required to pay Borrower any interest or earnings on the Funds. Lender
shall give to Borrower, without charga. an annual accounting of the Funds showing credit and debit to the Funds and the
purpose for which each debit to the Funds was made. The Funds arepledged as additional sxurity fot the sums secured
by this Mortgage.
If the amount of ilia Fund: held by Lender. together with the future monthly installments of Funds payable prior to -
the due dates of taxes, assessment. insurance premiums and ground rent, shall exceed the amount required to pay said taxes,
assessments, insurance premiums and ground rent as they fall due. such excess shall be. at Borrower's option. either
promptly repaid to Borrower or credited to Borrower on monthly installments of Funds. if the amount of the Funds
held by Lander shall not be sufficient to pay taxes. assessment. insurance premiums and ground rents as they fall due.
Borrower shall pay to Lander any amount necessary to make up the deficiency within 30 days from the date notice is mailed
by Lender to Borrower requesting payment thereof.
- Upon payment•in full of all sums secured by this Mortgage, i.ender shall promptly refund to Borrower any Funds
held by Lender. If under paragraph 18 hereof the Property is sold or the Property is otherwise acquired by Lender, Lender
shall apply, no later than immediately prior to the sale of the Property or its acquisition by Lender, any Funds held by
Lender at the time of application as a credit against the sums secured by this Mortgage.
3. Applkatlat of Pa~ywe~b. Unless applicable law provides otherwise. all payments received by Lender under the
Note and paragraphs 1 and 2 hereof shall be applied by Lender first in payment of amount payable to Lender by Borrower
under paragraph 2 hereof. then to interest payable on the Note. then to the principal of the Note. and then to interest and
principal on any Future Advances.
1. C\arges; Liens. Borrower shall pay all taxes, assessment and other charges. fines and impositions attributable to
the Property which may attain a priority over this Mortgage. and leasehold payment or ground rents, if shy, in the manner
provided under paragraph 2 hereof or. if not paid in such manner. by Borrower making payment, when due, directly to the
payee thereof. Borrower shall promptly furnish to Lender all notices of amount due under this paragraph, and in the event
Borrower steal! make payment directly. Borrower shall promptly fumish to Lender receipts evidencing such payment.
Borrower shall promptly discharge any lien which has priority over this Mortgage; provided. that Borrower shall not be
required to discharge any such lien so long as Borrower shall agree in writing-to the payment of the obligation secured by
such lien in a manner acceptable to Lender, or shall in good faith contest such lien by, or defend enforcement of such lien in,
legal proceedings which operate to prevent the enforrement of the lien or forfeiture of the Property or any part thereof.
S. Hazard lasorasceL Borrower shall keep the improvements now existing or hereafter erected on the Property insured
agairut loss by fire. hazards included within the term "extended coverage". and such other hazards as Lender may require
and in such amount and for such periods as Lender may require; provided, that Lender shall not require that the amount of
such coverage exceed that amount of coverage-required to pay the sums secured by this Mortgage.
The insurance carrier providing the insurance shall be chosen by Borrower subject to .approval by Lender, provided,
that such approval shall not be unreasonably withheld. All premiums on insurance policies shall be paid in the manner
provided under paragraph 2 hereof or, if not paid in such manner. by Borrower making payment. when due, directly to the
inwrance carrier.
~ All insurance policies and renewals thereof shall be in form acceptable to Lender and shall include a standard mortgage
clause in favor of and in form acceptable to Lender. Lender shall have the right to hold the policies and renewals thereof,
and Borrower shall promptly furnish to Lender all renewal notices and.all receipt of paid premiums. In the event of loss,
~ Borrower shat! give prompt notice to the iruurance carrier and Lender. Lender may make proof of loss if not made promptly
by Borrower.
Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of
the Property damaged, provided such ratoration or repair is economically feasible and.- the security of this Mortgage is
not thereby impaired. If such restoration or repair is not economically feasible or if the security of this Mortgage would
be impaired, the insurance proceeds shall be applied to the sums secured by this Mortgage, with the execs. if any, paid
to Borrower. If the Property is abandoned by Borrower, or if Borrower fails to respond to Lender within 30 days from the
date notice is mailed by bender to Borrower that the insurance carrier offers to settle a claim for insurance benefit, Linder
is authorized to collect and apply the insurance proceeds at Lenders option either to restoration or repair of the Property
or to the sums secured by this Mortgage.
Unless Lender and Borrower otherwise agree in writing. any such application of proceeds to principal shalt not extend
or postpone the due date of the monthly installments referred to in paragraphs 1 and 2 hereof or change the amount of
such installment. If under paragraph i8 hereof the Property is acquired by Lender, all right, title and interat of Borrower
in and to any insurance policies and in and to the proceeds thereof resulting from damage to the Property prior to the sale
or acquisition shall pass to Lender to the extent of the sums secured by this Mortgage immediately prior to such sale or
acquisition:
6. Preservation sad Maintenance of Property; Leaseholds; Condominiums; Planned Udt Devebpmeats. Borrower
I shall keep the Property in good repair and shall not commit waste or permit impairment or deterioration of the Property
wd shall comply with the provisions of any lease if this Mortgage is on a leasehold. If this Mortgage is on a unit in a
condominium or a planned unit development. Borrower shall perform all of Borrowers obligations under the declaration
or covenants creating or governing the condominium or planned unit development, the by-laws and regulations of the
condominium or planned unit development. and constituent documents. If a condominium or planned unit devebpment
rider is executed by Borrower and recorded together with this Mortgage, the covenant and agrcements of such rider
shall be incorporated into and shall amend and supplement the covenant and agrcemcnt of this Mortgage as if the rider
were a part hereof.
7. Protection of Leader's Security. If Borrower fails to perform the covenants and agreements contained in this
Mortgage, or if any action or proceeding is commenced which materially affects Lender's interest in the Property.
including. but not limited to. eminent domain. insolvency, code enforcement. or arrangements or proceedings involving a
bankrupt or decedent, then Lender at Lender's option, upon notice to Borrower, may make such appearances, disburse such
sums and take such action as is rrocessary to protect benders interest, including, but not limited to. disbursement of
reasonable attorney's fees and entry upon the Property to make repairs. If Lender required mortgage insurance as a
condition of making the loan secured by this Mortgage, Borrower shall pay the premiums required to maintain such
insurance in effect until such time as the requirement for such insurance terminates in acxordance with Borrowers and
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